Crypto Analyst Ali Martinez revealed the bearish sentiment among top traders on Binance towards Bitcoin. This development suggests that the top crypto could soon experience significant downward pressure.
Top Binance traders are selling BTC
Martinez revealed in an X (old Twitter) publish that 51.41% of the top traders in Binance are selling Bitcoin. This indicates that these traders expect the leading cryptocurrency to experience a price drop despite its recent recovery above $60,000. In fact, BTC started this week with a price correction, falling to $58,000.
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This bearish outlook for Bitcoin suggests that the surge to $60,000 was a relief rally rather than a bullish reversal. In a recent analysis, Martinez also revealed that the leading cryptocurrency was still in a downtrend. He alluded to the momentum of Bitcoin’s market cap realized value (MVRV), which he claimed shows that the leading cryptocurrency has been in a downtrend since falling below $66,750 in June. He added that the trend has not yet changed.
With Bitcoin still in a bearish trend, the cryptocurrency is at risk of further declines. Martinez highlighted the $58,100 price level as crucial, noting that a break below could lead to a drop to $55,000. On the other hand, he stated that Bitcoin could recover to the mid- or upper-levels at $60,200 or $62,000 if it holds the lower boundary of the parallel channel.
Meanwhile, crypto analyst Jelle recently featured $65,000 as the price level that Bitcoin must reclaim to enjoy a bullish reversal. However, reaching that price level is difficult for now, especially with the uncertainty surrounding the imminent rate cuts and the US presidential election. Bitcoin bulls appear to be waiting to see how the market will react to the Fed’s interest rate decision, which will be announced on September 18.
It’s also worth noting that September is historically a bearish month for Bitcoin. This is no different as investors look to October as the month they’ll return to the market.
Bitcoin Could Still Drop to $15,000
Renowned economist Peter Schiff warned that Bitcoin could still fall to $15,000. He has what he believes to be a triple top highlighted on the Bitcoin chart. The expert added that the chart is worse if the leading cryptocurrency is priced in gold. At the very least, the economist expects BTC to fall to the ascending trendline for about $42,000but he doubts that he will maintain this line of support.
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As such, he predicts that Bitcoin will retest long-term support. between US$15,000 and US$20,000. While it remains to be seen whether this will happen, Schiff is known to be a Bitcoin bear and has consistently defended for gold over major crypto.
At the time of writing, Bitcoin was trading around $58,200, down over the past 24 hours, according to data from CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com